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The Efficiency That Moves Cost to Another Department

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October 20, 2026

Process improvements routinely reduce cost in one function by transferring it to another. The centralized intake speeds service and burdens the back office. The automated approval reduces manager time and creates rework downstream.

These transfers remain invisible because budgets are departmental. The function that improved reports savings. The function that absorbed the cost reports overrun. No one connects the two, and the organization concludes that one function is efficient and the other is not.

Assessing improvement requires following the cost across boundaries. For those improving operations within their professional development strategies, boundary-spanning measurement reveals what departmental metrics conceal. Our measurement framework provides boundary approaches.

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